used car finance

I am about to open your mind. Buying a car isn’t going to be a hassle when there are options to make the purchase EASIER. A lot of people struggle with buying their cars. Some go for car finance schemes, while others choose loans. That is to say, we have got a hundred ways for used car finance, and you should learn them anyway.

In order to make a more informed decision about car financing, and if that involves a used car, you need to find out more about your own money and the way you are using it.

Then come the multitude of ways to learn about car financing in general.

If you are in for this journey, then we will help you out.

For that, simply keep on reading.

What Used Car Finance Facts I’m Still Not Aware of!

To tell you the truth, most people taking out car loans for bad credit in Ireland have been observed as financially wise as per our readings.

In Ireland, you get to find a number of ways to finance a car. If that is a used car, then we can say the Irish have a good sense of ‘using a used car.

You get the idea!

Jokes apart, we Irish know the use of an item for a long time. This is how we bring out the utilization value of that object. We can tell you we use the same tactics to fund a used car and then reuse it for quite a long time.

In that sense, let us give you an idea about what a used car stands for.

A new car has a fixed price value, such as €10,000 (let’s suppose). Using it for a year would result in losing 35% of its price value. In 3 years, you would get a reduced value of 45%. So, the car you bought for €10,000 would come in €6500 in the 1st year and then at €5500 at the end of the 3rd year.

When the value of the car decreases yet it’s functionally okay, there’s a chance of profit for the buyer. You see that this decrease gets slower with time (as mentioned in the above example). This means your used car might have some lost value, but it is also cheap.

In other words, this used car is going to get you more facilities for less money. You can call this factor ‘depreciation’, and it is very healthy for a buyer who is looking to own a car on a budget. 

So, now that you know why buying a used car is good, we are now going to look at some ways to make this easier for you.

In this blog, you are going to learn important facts about used car finance strategies.

How does Personal Contract Purchase or PCP Become Helpful?

As a matter of fact, Personal Contract Purchase is made for those who want to get the best values out of the car they want to own.

How does it work then?

Well, in this used car finance scheme, you can choose to own the car in return for monthly instalments with interest rates.

Now you can own the car as a rental one. In that case, you cannot be the ultimate owner of the car, yet you have got to pay for its damages (if they occur).

There is a mileage limit in this scheme too.

However, you are also given a facility if you think about owning a car. In that regard, you need to make the final payment, which is often referred to as the balloon payment, and that would get you the ownership of the car.

PCP is a good option when you want to make most of the car’s value.

Preferred by a lot of people, PCP is advantageous for the following reasons:

  • You can cultivate more value in the car as monthly payments give you a better result in obtaining more financial value than the loss of the value of the car.
  • As you are free to make decisions, you can now return the car to the dealer when you have finished using it and you think you would require a new vehicle.
  • PCP is again a good choice because you get a very long utilization period that you can consider a natural test drive session to help you understand your driving needs and your adaptability to a vehicle. In this way, you can determine what kind of a car you need as well.

It has been found to be a more affordable option in general.

Also Visit Us: What Is The Current Position Of Used Car Finance Market?

Advantage of PCP over Hire Purchase (HP)

Hire Purchase or HP is not going to give you the facility you are looking for in the first place.

With PCP, you can get to choose both. You can either use the car and give it back or your car and then own it.

With this in mind, we are not saying that HP is a completely deniable option.

Many take it as their used car finance strategy.

But when it comes to flexible choices and low monthly instalments., choosing PCP is a better choice.

However, we can give EVEN A BETTER IDEA.

Go to the next point to learn about that. 

What a Car Loan can do When we’re Thinking Used Car Finance?

Although PCP is quite a popular choice in Ireland, it has its downsides like all other good things.

Disadvantages of Personal Contract Purchase (PCP)

  • Extra charges if you drove the car more than its set mileage limit.
  • More extra charges if damage happens to the car.
  • The scheme works in the secured way as the car is an asset taken against the scheme.
  • You might not get a promising mileage with PCP.

On the contrary, a PERSONAL CAR LOAN qualifies as one of the fittest options for car finance for bad credit in Ireland because:

  • You can pay for the car even in a bad credit score because the lenders have taken care of the money.
  • A car loan can help you secure BOTH the instalments and the balloon payment.
  • You can stop worrying about missing out on a limited period as personal car loans are offered within a day (even with bad credit scores).
  • You can own the car if you have words with your dealer in the very beginning.
  • Last but not least, you can be more organized in financing the car and keep your savings accounts uninvolved.

However, we would like to give you a smart idea as a parting thought!!!

To Conclude: Use the Benefits of a Car Loan and PCP Both

If you are still confused about the car. You are about to own (or rent), then let us mix up the used car financing with the help of PCP and a car loan.


Take out a car loan, and use it to fund the PCP costs.

And, all the while, analyze the car – from its performance to its price (and the depreciation).

You can still make your choice for the balloon payment later. Otherwise, simply hand the keys over to your dealer.

Although you gave the car back (or even if you own it), your finances are saved, right?

You can thank us later.

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